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The Steel Seizure Case (Youngstown Sheet & Tube Co. v. Sawyer)

1. The Steel Seizure Case (Youngstown Sheet & Tube Co. v. Sawyer), (1952)

2. Facts: In the latter part of the Korean war, labor disputes led to a threatened strike by the steel workers. President Truman issued an executive order directing the Secretary of Commerce to seize the steel mills and keep them running. The Secretary issued orders to the presidents of the steel companies, directing them to keep the mills open. The next morning, the President sent a message to Congress reporting his action and promising to abide by their decision either way. Congress took no action. However, there was evidence that Congress disapproved of allowing the President to exercise such power because a few years prior, they removed a clause from the Taft-Hartley act that would have given the President power to seize an industry in case of national emergency.

3. Procedural Posture: The trial court issued a preliminary injunction restraining the Secretary from continuing possession. The court of appeals stayed the injunction. The Supreme Court accepted the case promptly due to the importance of the subject matter.

4. Issue: Whether the president had the power under these circumstances to seize the steel mills of the country.

5. Holding: No.

6. Majority Reasoning: There is no express power in the Constitution supporting the president’s actions. The government claims that the power should be implied from the aggregate of the presidential powers under the Constitution. However, the order can not be sustained under the power of the Commander in Chief of the armed forces because that power is reserved for military commanders in the theater of war and is not broad enough to cover the situation here. This is a job for the nation’s lawmakers, not the military authorities. Also, the president’s power to see that the laws are faithfully executed refutes the idea that he is to be a lawmaker. Congress has the exclusive constitutional power to make laws necessary and proper to carry out the powers vested by the constitution in any officer thereof. Thus, this order is unconstitutional.

7. Concurrence Reasoning: [Frankfurter] felt that the situation was more complicated and flexible. However, in view of the Taft-Hartley act, congress has expressed its will to withhold this power from the president in cases like this. In effect, the Congress has said, “ask for seizure power from us if you feel it is needed in a specific situation.” [Jackson] felt that the presidential powers were not fixed, but rather fluctuate, depending on their congruence with Congress. There are three categories: 1. where the president is acting pursuant to an express or implied authorization of Congress - broadest powers, limited only by the Constitution, 2. where the president is acting in the face of Congressional silence - more narrow powers limited by the “zone of twilight” where there may be overlap with congressional powers, and 3. where the president is acting in opposition to Congress - most narrow powers, supported only by his expressly granted constitutional powers, and then still limited by any overlap Congress may have [Congress’ will is dominant in case of overlap]. This order falls into the third category, and since there is no express authority, it must fall, even when it may be otherwise justified by “emergency.”

8. Dissent Reasoning: The president has some power under the constitution to meet a critical situation in the absence of express statutory authorization. Looking at history (particularly WWII), there were several instances when the president made similar orders. The fact that Congress and the courts have consistently recognized and given their support to such executive action indicates that such a power of seizure has been accepted throughout our history.

 

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